Chapterhouse being sued?

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**Agamemnon2**

Arschbombe wrote:They're going for the deathblow here. They say there is no remedy, no fix that can be applied to get Chapterhouse to comply with the law and stay in business. They must cease operation.

Not only that, but they're demanding the molds themselves are destroyed, in addition to destroying all inventory. They're seeking to poison that particular well.

**Howard A Treesong**

Arschbombe wrote:The more of the filing I read, the stupider it gets.

Chapterhouse has "...caused great and irreparable injury to Plaintiff." By selling things that GW doesn't?

They're going for the deathblow here. They say there is no remedy, no fix that can be applied to get Chapterhouse to comply with the law and stay in business. They must cease operation. I realize that hyperbole and overreach are part and parcel of the US legal system, but still. Reading the filing makes me want to nuke Nottingham.

Surely if they make obviously overstated claims and hyperbole they risk having it thrown out?

JB

B. Defendants’ Infringing Conduct

27. Upon information and belief, after having initiated some modest sales on eBay in
2008, sometime in or about May 2009, Chapterhouse began manufacturing and selling gaming
miniatures and accessories at its website located at www.chapterhousestudios.com (“the
Website”).

28. Among the products sold by Chapterhouse are “Super Heavy Assault Walker”
products designed and licensed for Chapterhouse by Defendant Paulson Games.

29. Upon information and belief, many consumers of Plaintiff’s original
WARHAMMER and WARHAMMER 40,000 books and other products and services are users of
and make purchases from Defendants’, including many such individuals and users in the State of
Illinois.

30. All of the 106 products that Chapterhouse currently markets and sells (including
the “Super-Heavy Assault Walker” designed at least in part by Paulson Games) are derived from
and bear the unique characteristics and expressions of Games Workshop’s copyrighted works,
including unique expressions created and set forth in great detail in Games Workshop’s
background published works described above.

31. Upon information and belief, all of the items produced, marketed, and sold by
Chapterhouse (including the “Super-Heavy Assault Walker” designed at least in part by Paulson
Games) have been copied from (and infringe upon) Games Workshop’s copyrighted characters
and stories and sculptural works.

32. Similarly, at least 14 of the 15 items produced, marketed, and sold by Paulson
Games have been copied from (and infringe upon) Games Workshop’s copyrighted characters
and stories and sculptural works.

33. On information and belief, Paulson entered his agreement with Chapterhouse for
the “Super-Heavy Assault Walker” because of an inability to satisfy great consumer demand for
the product, which Chapterhouse now sells at retail for $285.

34. Chapterhouse makes no secret of the fact that its products are derived from,
inspired by, and copied from Games Workshop’s copyrighted works and, indeed, the banner at
the top of each page of the Website describes its business as “Specializing in Custom Sculpts and
Bits for Warhammer 40,000 and Fantasy”.

35. Defendants’ development, production, marketing, and sale of their derivative
works based on Games Workshop’s proprietary works is without authorization or approval of
Games Workshop.

36. Defendants’ development, production, marketing, and sale of their derivative
works based on Games Workshop’s proprietary works preempts Games Workshop’s ability to
develop and sell its own such derivative works and compete directly with Games Workshop’s
“Forge World” products.

37. Beyond the copying of protected original elements of Games Workshop’s
copyrighted works, Chapterhouse makes extensive unauthorized use of Games Workshop’s
trademarks.

38. Chapterhouse makes pervasive references to Games Workshop’s trademarks to
identify its products (and adopts a distinctly British phrasing by use of the term “bits” to
underscore the connection), including without limitation: “Vehicle Accessory Kits for Space
Marines”, “Imperial Guard Conversion Bits”, “Assault Shoulder Pad for Space Marine with
Number 7”, “Soul Drinker Bits”, “Salamander Bits”, and “Xenomorph Head Bits for Tyranid
Gaunts”.

39. The very title of Chapterhouse’s Website “Specializing in Custom Sculpts and
Bits for Warhammer 40,000 and Fantasy” indicates prominently - and falsely - that Chapterhouse
is literally acting “for” Games Workshop in creating, marketing, and selling such “bits” for the
WARHAMMER 40,000 game when it has not been authorized by Games Workshop to use its
brand or product names in any way.

40. Upon information and belief, such references create an association in the minds of
customers between Defendants’ products and those of Games Workshop and give the false
impression that Chapterhouse’s products are licensed by or endorsed by Games Workshop or are
otherwise associated with Plaintiff.

41. As a result of the foregoing, Games Workshop has received many customer
complaints and inquiries about Chapterhouse’s products, indicating that customers are confused
and will continue to be confused as to the origin and sponsorship of Chapterhouse’s products,
including whether Games Workshop has licensed Chapterhouse or otherwise given it authority to
produce the products being sold through the Website.

42. Upon information and belief, products produced and sold by Chapterhouse copied
from Games Workshop’s copyrighted originals and bearing trademarks and other indicia of
origin with Games Workshop are also sold in substantial quantities in the secondary market
(such as on eBay and other similar platforms), where purchasers are likely to be confused as to
the origin of those products.

43. Exacerbating the injury to Games Workshop’s reputation, the quality of many of
Defendants’ products is materially inferior to the quality of Games Workshop’s originals, which
will cause injury to Games Workshop’s reputation among purchasers of Defendants’ products in
the original or secondary markets.

44. Chapterhouse’s use of the Games Workshops trademarks, including without
limitation the marks WARHAMMER, WARHAMMER 40,000, 40K, SPACE MARINE,
CHAOS SPACE MARINES, ELDAR, ELDAR FARSEER, ELDAR JETBIKE, ELDAR
WARLOCK, ELDAR SEER COUNCIL, TYRANID, ADEPTUS MECHANICUS, BLOOD
ANGELS, DARK ANGELS, BLOOD RAVENS MARINES, IMPERIAL GUARD, BLACK
TEMPLARS, ALPHA LEGION, BONESWORD, CARNIFLEX, CRIMSON FISTS, FLESH
TEARERS, GENESTEALER, GAUNT, HERESY ARMOUR, HORUS HERESY, HOWLING
GRIFFONS, IRON HANDS, IMPERIAL FISTS, LASHWHIP, LEGION OF THE DAMNED,
LIGHTNING CLAW, LIONS RAMPANT, LUNA WOLVES, MANTIS WARRIORS, MK
ARMOUR, MYCETIC SPORE, RHINO, SALAMANDER, SONS OF RUSS, SOUL
DRINKER, SPACE WOLVES, STAR FOX, SWARMLORD, TECHMARINES, TAU,
THUNDER ARMOUR, THUNDER HAMMER, TERMAGANTS, TERVIGON, and YMGARL
(among others) are likely to cause confusion, to cause mistake, or to deceive.

45. The WARHAMMER Marks and WARHAMMER Registered Marks were famous
at the time Defendants began using these marks.

46. Defendants’ use of the Games Workshops trademarks has been without Plaintiff’s
authorization or consent.

47. Upon information and belief, Defendants’ acts complained of herein have been
willful and malicious, and intended to trade upon the reputation of Plaintiff and its products and
services sold under its WARHAMMER Marks and thereby cause harm to Plaintiff.

Looks like GW is particularly pissed about the Super-Heavy Assault Walker, the sale of products on Chapterhouses internet web site, their activity in Northern Illinois (Chicago?) which GW sees as rich territory (Adepticon is mentioned as is the annual Chicago Gamesday event), and the use of proprietary terms, which oddly enough seems to include the word "bits". I suppose in the US we ought to use the word "bitz"?

Anyone know if GW also filed in Texas or did they settle on the US District Court of Northern Illinois because they see it as more friendly to their case?

Personally I don't feel any emotion about this case. I'm not any more inclined to buy or not buy Chapterhouse or GW products.

**Fifty**

Sorry, but if Chapterhouse broke the rules, they gotta take the fall. It is not GW's fault, it is theirs. If they didn't, good luck to them, I hope they win the case.

Let the courts decide it either way, and not make out that either side is a villain.

**Arschbombe**

Empchild wrote:
Arschbombe wrote: Reading the filing makes me want to nuke Nottingham.

Why the filling is being made in IL, my home state.

The filing is being made in Illinois because Chapterhouse and Paulson have operations there according to the filing, but it's not like the Chicago branch of the NY law firm representing GW thought up this course of action on their own. GW HQs made the decision. If you cut off the head, the body will wither.

**Hulksmash**

@Empchild

I think we're saying the same thing. Having a photo of GW models on their site with the bitz/conversion kits was asking for it. I'm pretty sure that photo they put up was the final straw as it's closer to a full 40k model than anything they've made before.

@Thread in general

Defend your IP or lose it. Tons of companies make great bitz that work w/GW. Just none are as blatant about it and non mention GW by name or show the bitz on GW 28mm models. Being on solid legal ground won't keep GW from burying them with mone if they're inclined. And it looks like they're inclined.

**FM Ninja 048**

Empchild wrote:
Arschbombe wrote: Reading the filing makes me want to nuke Nottingham.

Why the filling is being made in IL, my home state.

You should see if you can sit in on the case, see GW legal at work...

**Arschbombe**

Howard A Treesong wrote:
Surely if they make obviously overstated claims and hyperbole they risk having it thrown out?

Not really. The adversarial system give incentives both sides to make their claims as strongly as possible and hope your claims win out. You don't go to court and say "my neighbor's fence is encroaching on my yard and I'd like him to move it back one foot." You say, "he built an abomination on my lawn, causing irreparable damage to my home value, my marriage, my dog's sense of well being, and has derailed the mideast peace process." You throw a bunch of crap and hope some of it manages to stick.

**Chibi Bodge-Battle**

13. The underlying stories, myths, fictional histories, overall appearances, and unique
characteristics of the many armies used in Games Workshop’s games, such as their language,
culture, major worlds, weapons, methods of waging war, heraldry and iconography, and how
they look, behave, and function are all derived from detailed books and other publications (which
are supplemented by other written materials, such as specific game rules, novels, licensed
products, hobby guides, and datasheets separately) all of which are created by Games Workshop
and are protected by copyright, including those literary works referenced above.

Because GW did think it all up by them very own selves without any help from historical, cultural, mythological or literary sources whatsoever and in no way borrowed concepts from any such sources because they in no wise existed before GW's fiat.

**Kanluwen**

Chibi Bodge-Battle wrote:
13. The underlying stories, myths, fictional histories, overall appearances, and unique
characteristics of the many armies used in Games Workshop’s games, such as their language,
culture, major worlds, weapons, methods of waging war, heraldry and iconography, and how
they look, behave, and function are all derived from detailed books and other publications (which
are supplemented by other written materials, such as specific game rules, novels, licensed
products, hobby guides, and datasheets separately) all of which are created by Games Workshop
and are protected by copyright, including those literary works referenced above.

Because GW did think it all up by them very own selves without any help from historical, cultural, mythological or literary sources whatsoever and in no way borrowed concepts from any such sources because they in no wise existed before GW's fiat.

That's actually irrelevant at this point, unless Chapterhouse can prove that they were also "borrowing" from GW's sources without ever having been aware of GW's usage.

**Empchild**

Here's the thing about wanting the moulds destroyed. This is common as the moulds are what's producing the IP infringment, and you know what chapterhouse made the mistake and didn't look at other companies that were successfull in this conversion industry. For a little more money they could have made their own models "Not" similair to GW that people just throw on their GW models. This is pretty clear honestly and after reading it and comparing with the GW IP site ( I read the whole thing one day OMFG SOOOO LONG) they will most likely loose. If I shot somone on the street I would have to own up too it incourt, no difference on this side. Hopefully he can rebuild himself later, and consider this a lesson that sucked but had to be learned.

**ironicsilence**

should be interesting to see how this all plays out since chapterhouse has always put forward how strong a legal stance they have

**AgeOfEgos**

Do we have any educated Dakka members (IE actual attorneys) available?

I had a bad feeling last week (and even emailed one of my friends) when I saw ChapterHouse have a flashing red non disclaimer added to the site. I know it's cliche to add this but ChapterHouse has made me spend MORE money on GW parts...certainly not less. This is a real disappointment, regardless of the legal technicalities.

**Darkwynn**

Hopefully Chapterhouse will be successful and stop GW from coming after them. If Chatperhouse wins it will create room in the market for other small time modelers to create more kits for the consumer.

**Squig_herder**

Empchild wrote:Hopefully he can rebuild himself later, and consider this a lesson that sucked but had to be learned.

Considering GW is asking for him to pay damages and their own legal fees, I don't think it will be a quick road to recovery. I assume that GW get high end lawyers.

**Bignutter**

I find it weird that people don't realise if GW don't protect their IP they risk losing it and opening the flood gates to other people copying it- its all well and good saying you like the idea of being able to get bits that GW haven't made (they can't make everything at once can they?) but what if that then results in all sorts of soddy knockoffs sprouting up from everyone and their dog?

**Ulver**

Arschbombe wrote:Reading the filing makes me want to nuke Nottingham.

Go for it - I doubt the residents would notice, to be honest.

**Kanluwen**

AgeOfEgos wrote:Do we have any educated Dakka members (IE actual attorneys) available?

I had a bad feeling last week (and even emailed one of my friends) when I saw ChapterHouse have a flashing red non disclaimer added to the site. I know it's cliche to add this but ChapterHouse has made me spend MORE money on GW parts...certainly not less. This is a real disappointment, regardless of the legal technicalities.

Polonius is a lawyer, and I think he actually does IP law no less.

**Janthkin**

A quick note: "Unfair competition" is a blanket category of complaint in business cases, and touches on various trademark & business-related issues; it has nothing to do with the internet's concept of "fair."

(Here, without having fully read the pleading yet, I suspect the argument is something like "Chapterhouse is selling their products by referencing ours, thereby benefiting from the goodwill/advertising associated with our products.")

Should be interesting; I hope they have the resources to hang in there for a while, as I think they have an interesting legal position - it's kind of like replacement parts (decent amount of jurisprudence available along those lines), but not quite the same - most of their products are effectively works of art in their own right.

(edit: Disclaimer insertion: while I am an attorney, these and all my other comments are my own opinions, and should not be taken as legal advice. If you need legal advice, pay one of my colleagues in your own jurisdiction.)

**Whatever1**

Howard A Treesong wrote:
Arschbombe wrote:The more of the filing I read, the stupider it gets.

Chapterhouse has "...caused great and irreparable injury to Plaintiff." By selling things that GW doesn't?

They're going for the deathblow here. They say there is no remedy, no fix that can be applied to get Chapterhouse to comply with the law and stay in business. They must cease operation. I realize that hyperbole and overreach are part and parcel of the US legal system, but still. Reading the filing makes me want to nuke Nottingham.

Surely if they make obviously overstated claims and hyperbole they risk having it thrown out?

Well,in any civil suit,everything is overdramatized. If you go in there with,"Oh,well they did this to me,but it's not really a huge deal,"then you're not going to get anything.

As far as "great and irreparable injury",they certainly have a case. Wasn't the rumored Tyranid 2nd wave suppossed to include both a Tervigon kit and a direct-only Warrior Bonesword upgrade sprue? If people are buying Chapterhouse's conversions,then they're not buying GW's Tervigon kit or upgrade sprue when they come out(or are less likely,anyways). The Tervigon kit will probably be at least a $50 kit like the Trygon,while the Carnifex kit Chapterhouse's conversion is based off of is $45,so GW loses money there. If people are buying Chapterhouse's Boneswords,then people aren't buying GW's sprue,so they lose money there,too. Ultimately,Chapterhouse's entire buisness is based off infringing on GW's IP,copyrights,and trademarks,so whatever "great and irreparable injury" GW has taken is pretty much every dollar Chapterhouse has ever made.

**AgeOfEgos**

Kanluwen wrote:
AgeOfEgos wrote:Do we have any educated Dakka members (IE actual attorneys) available?

I had a bad feeling last week (and even emailed one of my friends) when I saw ChapterHouse have a flashing red non disclaimer added to the site. I know it's cliche to add this but ChapterHouse has made me spend MORE money on GW parts...certainly not less. This is a real disappointment, regardless of the legal technicalities.

Polonius is a lawyer, and I think he actually does IP law no less.

**Kirasu**

I want chapterhouse to succeed.. Unfortunatey money buys justice. GW has more money so I imagine they'll win this

**ender502**

Age of Egos.....Ask and ye shall receive,

Seems to me that chapterhouse is boned...I remember when they first opened and this very discussion began. They DID have a strong basis for feeling safe. They DID. They were not competing with GW because GW didn't make the products that Chaterhouse made. But it's the inclusion of GW's name, 40k and specific kit names and pictures that went over the line. The products were safe but the evolution of the site has put the entire business at risk.

It strikes me that chapterhouse got some great advice at the onset but then never gave a second look to the evolving legal issues. A competent attorney could have told them they were heading into dangerous territory. GW gave these guys some rope and they seem to have effectively hung themselves. I hope it works out though. They make some great products.

Just my 2 cents

ender502

**Janthkin**

Bignutter wrote:I find it weird that people don't realise if GW don't protect their IP they risk losing it and opening the flood gates to other people copying it- its all well and good saying you like the idea of being able to get bits that GW haven't made (they can't make everything at once can they?) but what if that then results in all sorts of soddy knockoffs sprouting up from everyone and their dog?

Common misconception here - TRADEMARKS are subject to dilution/"genericization" if inadequately policed. Copyright doesn't have the same requirements.

You've got a lot of assumptions in your very brief statement. First, Chapterhouse mostly sells bits that GW does not and never has. They also don't represent their products as being made by GW. As such, they aren't selling "soddy knockoffs."

**ender502**

Well,in any civil suit,everything is overdramatized. If you go in there with,"Oh,well they did this to me,but it's not really a huge deal,"then you're not going to get anything.

As far as "great and irreparable injury",they certainly have a case. Wasn't the rumored Tyranid 2nd wave suppossed to include both a Tervigon kit and a direct-only Warrior Bonesword upgrade sprue? If people are buying Chapterhouse's conversions,then they're not buying GW's Tervigon kit or upgrade sprue when they come out(or are less likely,anyways). The Tervigon kit will probably be at least a $50 kit like the Trygon,while the Carnifex kit Chapterhouse's conversion is based off of is $45,so GW loses money there. If people are buying Chapterhouse's Boneswords,then people aren't buying GW's sprue,so they lose money there,too. Ultimately,Chapterhouse's entire buisness is based off infringing on GW's IP,copyrights,and trademarks,so whatever "great and irreparable injury" GW has taken is pretty much every dollar Chapterhouse has ever made.

**jp400**

Agamemnon2 wrote:Well, since Chapterhouse has always claimed to rest on sturdy legal grounds, it's now time for them to put their money where their mouth is and prove it.

I have to agree with this, and no sense beating a dead horse.

+1

**AgeOfEgos**

Hey thanks for your thoughts! Can you give me an example of a 'safe' bit they are selling as opposed to a product you feel goes over the line? Thanks!

ender502 wrote:Age of Egos.....Ask and ye shall receive,

Seems to me that chapterhouse is boned...I remember when they first opened and this very discussion began. They DID have a strong basis for feeling safe. They DID. They were not competing with GW because GW didn't make the products that Chaterhouse made. But it's the inclusion of GW's name, 40k and specific kit names and pictures that went over the line. The products were safe but the evolution of the site has put the entire business at risk.

It strikes me that chapterhouse got some great advice at the onset but then never gave a second look to the evolving legal issues. A competent attorney could have told them they were heading into dangerous territory. GW gave these guys some rope and they seem to have effectively hung themselves. I hope it works out though. They make some great products.

Just my 2 cents

ender502

**theHandofGork**

AgeOfEgos wrote:Do we have any educated Dakka members (IE actual attorneys) available?

Currently in law school. Based on my limited education & knowledge of applicable law I would think that Chapterhouse overstepped the line by using specific GW model names, descriptions, etc. But again, I'm not yet an attorney.

EDIT:
Didn't read down far enough, Ender already got this one. Glad to see my opinion lines up at least with a real lawyer.

**Chibi Bodge-Battle**

Kanwulen

Why is it irrelavent

GW nicked the look of Tau from Roger Dean

Someone else brings out a Tau style walker that looks like a crustacean, that some folks have likened to Tachikoma btw, and GW take the huff?
What this ultimately boils down to is GW attempting to snuff out competition. They are doing so by claiming IP infringements.
Maybe RD should sue the arse off GW.

**ender502**

AgeOfEgos wrote:Hey thanks for your thoughts! Can you give me an example of a 'safe' bit they are selling as opposed to a product you feel goes over the line? Thanks!

It's not the products...it's this:

"Bits/Conversion kits for Eldar® Players"

The products WERE fine, but you add this and all of a sudden we al lknow what it's for and we create a connection that says
chaptehouse = GW.

If it had stayed generic then it would be no problem. But instead they have "Bits/Conversion kits for Eldar® Players" rather than "space fairie warrior pieces."

See what I mean?

ender502